Companies /Industrials

Fastenal Company

NASDAQ: FAST Industrial Distribution
$49.32
▲ $0.31 (+0.63%) today
Markets closed · 10:25am ET

Q1 2026 Earnings

Reported Apr 13, 2026, 8:07am ET · SEC source
$0.30
Beat +0.84%
EPS · est. $0.30
$2.2B
Beat +0.24%
Revenue · est. $2.2B
−12.6%
Trailing market
FAST vs S&P since report
3 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−4%0+4%Apr 13Apr 14report 8:07am ETearnings+2.8%−4.7%
−4%0+4%Apr 13Apr 14earnings+2.8%−4.7%
FAST −4.7%S&P 500 +2.8%
−4%0+4%Apr 13Apr 14report 8:07am ETearnings+3.3%−4.7%
−4%0+4%Apr 13Apr 14earnings+3.3%−4.7%
FAST −4.7%NASDAQ +3.3%
−5%0+5%Apr 13Apr 21report 8:07am ETearnings+5.1%−4.6%
−5%0+5%Apr 13Apr 21earnings+5.1%−4.6%
FAST −4.6%S&P 500 +5.1%
−5%0+5%Apr 13Apr 21report 8:07am ETearnings+6.7%−4.6%
−5%0+5%Apr 13Apr 21earnings+6.7%−4.6%
FAST −4.6%NASDAQ +6.7%
−6.85%
Day of report
−2.58%
Next session
−0.52%
One week
−4.43%
30 days

S&P 500 over the same 30 days: +8.19%.

Did FAST Beat Earnings? Q1 2026 Results

Fastenal opened 2026 on solid footing, posting first-quarter revenue of $2.20 billion, a 12.4% increase year-over-year that edged past the $2.20 billion consensus by 0.24%, while diluted EPS of $0.30 topped the $0.30 estimate by 0.84%. The headline driver behind that top-line momentum was accelerating contract customer activity, with contract sales growing 14.6% on a daily basis and now accounting for 75.4% of total revenue, as improved signings since early 2024 continued to compound through the business. Gross margin did compress 50 basis points to 44.6%, pressured by price-cost dynamics and a structural mix shift toward larger accounts, but disciplined SG&A management more than compensated, lifting operating margin 20 basis points to 20.3%. Operating cash flow climbed 44.3% to $378.40 million, equal to 111.4% of net income, reflecting focused inventory optimization. Looking ahead, Fastenal guided capital expenditures to $310 million to $330 million for 2026, and investors should note that fastener expansion benefits mitigating gross margin pressure are set to anniversary early in the second quarter.

Key Takeaways
  • Share gains from improved customer contract signings since Q1 2024
  • Broad-based demand across core end markets with slight improvement in industrial production
  • Contract customer sales grew 14.6% DSR, representing 75.4% of total sales
  • Product pricing contributed approximately 350 basis points to sales growth
  • Foreign exchange positively affected sales by approximately 60 basis points
  • SG&A leverage from FTE productivity improvements (approximately 60 basis points)
  • Fastener expansion project benefits provided meaningful gross margin offset
  • Disciplined inventory management released working capital, boosting operating cash flow to 111.4% of net income
  • Heavy manufacturing end market grew 14.1% on a daily sales basis
  • Non-residential construction returned to growth at 17.2% DSR after extended contraction

Forward Guidance & Outlook

Fastenal expects 2026 capital expenditures (net of proceeds from sales) to be in the range of $310 million to $330 million, up from $230.6 million in 2025, driven by Atlanta hub facility replacement, improved picking capacity across the hub network, increased trucking spend, and elevated IT spending from delayed 2025 projects. The company's goal for weighted FASTBin and FASTVend device signings in 2026 remains between 28,000 and 30,000 MEUs. The company expects an ongoing tax rate of approximately 24.6%, absent discrete tax items or broader changes to tax law. Fastener expansion project benefits that have been mitigating gross margin pressure will anniversary early in Q2 2026.

FAST YoY Financials

Q1 2026 vs Q1 2025 · SEC filings Q1 2025 Q1 2026
$0$700.0M$1.4B$2.1B$2.0B$2.2BRevenue$883.9M$982.9MGross Profit$393.9M$447.6MOperating Income$298.7M$339.8MNet Income
$0$700.0M$1.4B$2.1BRevenueGross ProfitOperating IncomeNet Income

FAST Revenue by Segment

Digital Footprint Sales$1.4B+13.6%
FMI Technology Sales$1.0B+16.6%
FASTBin/FASTVend Sales$721.6M+16.4%
eBusiness Sales$648.8M+6.8%
FASTStock Sales$279.8M+17.0%

Figures from SEC filings and company reports. Not investment advice.